[Adopted 12-15-1975 by Ord. No. 441, approved 12-15-1975]
The following words and terms used in this article
shall have the meanings as defined herein:
A partnership, limited partnership or any unincorporated
group of two or more persons.
An enterprise, activity, profession or any other undertaking
of an unincorporated nature conducted for profit or ordinarily conducted
for profit whether by a person, partnership, association or any other
entity.
A corporation or joint-stock association organized under
the laws of the United States, the Commonwealth of Pennsylvania or
any other state, territory, foreign country or dependency.
The current year shall be from the effective date of this
article, January 7, 1976, through December 31, 1976. In subsequent
years, the current year shall be the calendar year for which the tax
is levied.
Salaries, wages, commissions, bonuses, incentive payments,
fees, tips and other compensation received by a person or his personal
representative for services rendered, whether directly or through
an agent and whether in cash or in property, not including, however,
wages or compensation paid to persons on active military service;
periodic payments for sickness and disability other than regular wages
received during a period of sickness; disability or retirement or
payments arising under workmen's compensation acts, occupational disease
acts and similar legislation or payments commonly recognized as old-age
benefits, retirement pay or pensions paid to persons retired from
service after reaching a specific age or after a stated period of
employment; payments commonly known as "public assistance" or unemployment
compensation payments by any governmental agency; payments to reimburse
expenses; or payments made by employers or labor unions for wage and
salary supplemental programs, including but not limited to programs
covering hospitalization, sickness, disability or death, supplemental
unemployment benefits, strike benefits, social security and retirement.
A person, partnership, association, corporation, institution,
governmental body or unit or agency, or any other entity employing
one or more persons for a salary, wage, commission or other compensation.
A person, public employee or private agency designated by
the Council of the Borough of Eddystone to collect and administer
the tax on earned income and net profits.
The net income from the operation of a business, profession
or other activity, except corporations, after provision for all costs
and expenses incurred in the conduct thereof, determined either on
a cash or accrual basis in accordance with the accounting system used
in such business, profession or other activity but without deduction
of taxes based on income.
A person domiciled outside the limits of the Borough of Eddystone,
or a partnership, association or other entity maintaining as the center
of its business affairs a place outside the Borough of Eddystone.
A natural person.
A person, partnership, association or other entity domiciled
in the Borough of Eddystone.
A person, partnership, corporation, fiduciary or association
subject to the tax imposed by this article.
A person, partnership, association or any other entity required
hereunder to file a return of earned income or net profits or to pay
a tax thereon.
A.
A tax for general revenue purposes in the amount of
1% is hereby imposed on the following:
[Amended 11-28-1983 by Ord. No. 486, approved 11-28-1983; 12-12-1983 by Ord. No.
487, approved 12-12-1983]
(1)
Earned income earned on or after January 1, 1984,
by persons residing in the Borough of Eddystone.
(2)
Earned income earned on or after January 1, 1984,
in the Borough of Eddystone by nonresidents of the Borough of Eddystone.
(3)
Net profits earned on or after January 1, 1984, in
the Borough of Eddystone.
B.
The tax levied hereunder shall relate to and be imposed
upon salaries, wages, commissions and other compensation herein defined
as earned income paid by an employer or on his behalf to a person
employed by him/her subject to the tax, as well as upon any resident
person of the Borough of Eddystone. The tax levied hereunder also
relates to and is imposed upon the net profits of any business, profession
or other activity carried on by any person or persons in the Borough
of Eddystone.
A.
Net profits.
(1)
Every taxpayer subject to the effect of this tax,
who reasonably expects that he/she will earn any taxable net profits
during the period between January 7, 1976, and December 31, 1976,
shall, on or before April 15, 1976, make and file with the Income
Tax Officer, on a form prescribed by the Council of the Borough of
Eddystone, a declaration of his estimated net profits for the period
beginning January 7, 1976, and ending December 31, 1976, setting forth
the estimated amount of the net profits reasonably expected by him/her
for said period and subject to the tax, the amount of estimated tax
imposed by this article on such estimated net profits and such other
relevant information as may reasonably be required pursuant to this
article. The taxpayer making the declaration shall, at the time of
filing thereof, pay to the Borough of Eddystone the proportional amount
of the tax as an installment on the total amount of the tax for the
period of time designated in the estimate. The installment due on
April 15, 1976, shall include the proportional amount due from the
date of enactment until March 31, 1976; the installment due on June
15, 1976, shall include the proportional amount due from April 1,
1976, to June 30, 1976; the installment due on September 15, 1976,
shall include the proportional amount due from July 1, 1976, to September
30, 1976; and the installment due on January 15, 1977, shall include
the proportional amount due from October 1, 1976, to December 31,
1976.
(2)
A person who, on April 15, 1976, does not reasonably expect that he/she will earn any taxable net profits during the period between January 7, 1976, and December 31, 1976, and who, subsequent to April 15, 1976, reasonably expects that he/she will earn taxable net profits on or before December 31, 1976, shall make and file on or before June 15, 1976, September 15, 1976, or January 15, 1977, whichever of these dates next follows the date on which the taxpayer first reasonably expects such net profits, a declaration similar to that required under the foregoing Subsection A(1). The taxpayer making the declaration shall, at the time of filing thereof, pay to the Borough of Eddystone the estimated tax shown as due thereon; provided, however, that the taxpayer shall have the right to pay the estimated tax in equal installments on or before the quarterly installment payment dates which remain after the filing of the declaration.
(3)
The Income Tax Officer is hereby authorized to provide
by regulation, subject to approval by Council, for the making and
filing of adjusted declarations of estimated net profits and for the
payment of the estimated tax in cases where a taxpayer who has filed
the declaration hereinabove required shall thereafter either reasonably
expect additional net profits not previously declared or find that
he/she has overestimated his net profits.
(4)
On or before April 15, 1977, every taxpayer who has
earned taxable net profits shall make and file with the Borough of
Eddystone, on a prescribed form, a final return showing all of such
net profits for the period beginning January 7, 1976, and ending December
31, 1976; the total amount of tax due; the amount of estimated tax
paid under the provisions of this section; and the balance due. When
the return is made for a fiscal year different from the calendar year,
the return shall be made within 105 days from the end of said fiscal
year. The percentage of the total net profits of any fiscal year of
a taxpayer ending within the period between January 7, 1976, and December
31, 1976, to which the tax imposed by this article shall be applicable
shall be equal to the same percentage of the total net profits as
the number of days within the taxable year bears to the total number
of days in the fiscal year. At the time of filing the final return,
the taxpayer shall pay the balance of the tax due or shall make demand
for refund or credit in the case of overpayment.
(5)
Every taxpayer who discontinues business prior to
December 31, 1976, shall, within 30 days after the discontinuance
of business, file his return as herein required and pay the tax due
or demand refund or credit in the case of overpayment.
(6)
Any taxpayer may, in lieu of paying the fourth quarterly
installment of his tax, elect to make and file with the Treasurer
on or before January 15, 1977, the final return as required.
B.
Earned income from salaries, wages, commissions and
other compensation.
(1)
Every taxpayer who is employed on a salary, wage, commission or other compensation basis and who reasonably expects to earn any taxable earnings not subject to the provisions of § 263-33 of this article relating to the collection of the tax imposed herein at the source, shall, on or before April 15, 1976, make and file with the Borough of Eddystone a declaration of his estimated total amount of taxable salaries, wages, commissions and other compensation for the period beginning January 7, 1976, and ending December 31, 1976; the estimated amount of the tax thereon that will be deducted therefrom pursuant to § 263-33 of this article; the estimated amount of tax imposed by this article that will not be deducted therefrom pursuant to § 263-33; and other relevant information as the Borough of Eddystone may require. In preparing a declaration of estimated taxable salaries, wages, commissions and other compensation taxable under this article, the taxpayer shall use the same amount with respect to such items as he/she shall have used in preparing his declaration of estimated tax for the year 1976 for federal income tax purposes, if such taxpayer shall be, required to file said declaration. The taxpayer making the declaration shall, at the time of filing thereof, pay to the Borough of Eddystone the balance shown as due thereon or he/she shall have the right to pay the balance of the tax as shown due therein in four installments, the first with the filing of the return on April 15, 1976; one installment on or before June 15, 1976; one installment on or before September 15, 1976; and the last installment on or before January 15, 1977. The final three installments shall be equal installments representing the tax, as imposed by this article, on the earned income earned during the applicable three months of the year. The installment paid on April 15 shall be the tax on earned income as earned from the effective date of this article until March 31, 1976.
(2)
A person who, on April 15, 1976, did not reasonably expect that he/she would earn any salaries, wages, commissions or other compensation defined as earned income pursuant to this article, not subject to the provisions of § 263-33 of this article relating to the collection of tax at the source, during the period between January 7, 1976, and December 31, 1976, and who, subsequent to April 15, 1976, reasonably expects earned income from salaries, wages, commissions and other compensation taxed under this article, not subject to the provisions of § 263-33 of this article, on or before December 31, 1976, shall make and file on or before June 15, 1976, September 15, 1976, or January 15, 1977, whichever of these dates next follows the date on which the taxpayer first reasonably expects that he/she will earn such salaries, wages, commissions and other compensation, a declaration similar to that required under Subsection B(1) immediately foregoing. The taxpayer making the declaration shall, at the time of filing thereof, pay to the Borough of Eddystone the estimated tax as shown due thereon; provided, however, that the taxpayer shall have the right to pay the estimated tax in installments as heretofore stated on or before the installment payment dates which remain after the filing of the declaration.
(3)
The Income Tax Officer is hereby authorized to provide
by regulation, subject to the approval of Council, for the making
and filing of adjusted declarations of estimated salaries, wages,
commissions and other compensation and for the payment of the estimated
tax in cases where a taxpayer who has filed the declaration hereinabove
required shall thereafter either reasonably expect additional salaries,
wages, commissions and other compensation not previously declared
or find that he/she has overestimated his earned income, as defined
herein.
(4)
On or before April 15, 1976, every taxpayer who has received earned income, as defined herein, shall make and file with the Borough of Eddystone on the prescribed form a final return showing all such taxable salaries, wages, commissions and other compensation earned during the period beginning January 7, 1976, and ending December 31, 1976; the total amount of tax due thereon; the amount of estimated tax thereon paid under the provisions of this section, if any; the amount, if any, of tax thereon that has been withheld pursuant to the provisions of § 263-33 of this article; and the balance of tax due. At the time of filing the final return, the taxpayer shall pay the balance of tax due or shall make demand for refund or credit in the case of overpayment.
(5)
Any taxpayer may, in lieu of paying the final installment
of the tax, elect to make and file with the Borough of Eddystone on
or before January 15, 1977, the final return, as above required.
A.
Every employer within the Borough of Eddystone who
employs one or more persons on a salary, wage, commission or other
compensation basis, other than domestic servants, shall deduct at
the time of payment thereof the tax imposed by this article on the
salaries, wages, commissions and other compensation due to the employee
or employees or person receiving such compensation and shall, on or
before April 15, 1976, July 15, 1976, October 15, 1976, and January
15, 1977, respectively, make and file with the Borough of Eddystone
on a prescribed form a return setting forth the taxes so deducted
and pay to the Borough of Eddystone the amount of taxes deducted for
the preceding quarters of the year ending March 31, 1976, June 30,
1976, September 30, 1976, and December 31, 1976, respectively. The
Income Tax Officer is hereby authorized to provide by regulations
approved by Council for payment on a monthly basis where the aggregate
amount of tax in excess of $50 per month is deducted.
B.
On or before January 15, 1977, every employer in the
Borough of Eddystone shall file with the Borough on prescribed forms
the following:
(1)
An annual return showing the total amount of salaries,
wages, commission and other compensation earned by the employee or
employees on which a tax is imposed by this article, the total amount
of tax deducted and the total amount of tax paid to the Borough of
Eddystone relating to salaries, wages, commissions and other compensation
earned by his employee or employees during the period beginning January
7, 1976, and ending December 31, 1976.
(2)
A return for each person who was an employee or a
person receiving commissions or compensation during all or any part
of the period beginning January 7, 1976, and ending December 31, 1976,
and who earned during such period any salaries, wages, commissions
or other compensation subject to the tax imposed by this article,
setting forth the employee's name, address and social security number;
the amount of such salaries, wages, commissions or other compensation
earned by the employee during said period; the amount of tax deducted
therefrom; and such other relevant information as the Borough of Eddystone
may require. Every employer shall furnish a copy of the individual
return to the employee for whom it was filed.
C.
Every employer who discontinues business prior to
December 31, 1976, shall, within 30 days after the discontinuance
of business, file the return herein required and pay the tax due,
except that immediate returns and the payment of any tax due thereon
may be required upon the discontinuance of any temporary business.
D.
Any employer required to withhold the tax from employees,
as herein provided, shall be personally liable for the payment of
the tax. In the event that said employer does not, for any reason,
deduct the tax from the employee and transmit it to the Borough of
Eddystone, this liability shall be in addition to interest and penalties
for failure to withhold, file or transmit as imposed elsewhere herein.
E.
The failure or omission of any employer to make the
deductions required by this section shall not relieve any employee
from the payment of the tax or from complying with the requirements
of this article relating to the filing of declarations and returns.
F.
If an employer makes a deduction of tax as required
by this section, the amount deducted shall constitute, in the hands
of the employer, a trust fund held for the Borough of Eddystone, and
the employee from whose salaries, wages, commissions or other compensation
the tax was deducted shall be deemed to have paid such tax.
It shall be the duty of the Treasurer of the
Borough of Eddystone to receive the taxes, fines and penalties imposed
by this article. It shall also be the duty of the Treasurer to keep
a record showing the amount received from each person paying the tax
and, if paid by an employer for a person, the name of such person
for whom the tax is paid and the date of such receipt.
A.
The Income Tax Officer is hereby charged with the collection of the tax and payment over to the Treasurer of the Borough of Eddystone, as well as the administration and enforcement of the provisions of this article dealing with the declaration and payment of tax as set forth in § 263-32 and of the collection at source as set forth in § 263-33. The Income Tax Officer is hereby empowered to prescribe, adopt, promulgate and enforce rules and regulations relating to any matter pertaining to the administration and enforcement of this article, subject to the approval of the Council of the Borough of Eddystone, including provisions for the reexamination and correction of declarations and returns and payments alleged or found to be incorrect, or as to which an overpayment is claimed or found to have occurred, and for reasonable extensions of time upon proper cause shown for filing declarations or returns, and to prescribe the forms necessary for the administration of this article. Nothing herein is intended to prevent the Council of the Borough of Eddystone from itself promulgating such rules and regulations.
B.
The Income Tax Officer and such agents as may be designated
in writing are hereby authorized to examine the books, papers and
records of any taxpayer in order to verify the accuracy of any declaration
or return or, if no declaration or return is filed, to ascertain the
tax due. Every taxpayer is hereby directed and required to give to
the Income Tax Officer or to any agent so designated by him/her the
opportunity for examination and investigation as is hereby authorized.
C.
Information obtained by the Income Tax Officer or
his agents or by any other official or agent of the Borough of Eddystone
as a result of any declaration, return, investigation, hearing or
verification required or authorized by this article shall be confidential
and shall not be disclosed except for official use in connection with
the administration or enforcement of this article or as otherwise
provided by law.
A suit may be brought to recover the tax imposed
by this article within three years after such tax is due or within
three years after a declaration or return has been filed, whichever
date is later; provided, however, that this limitation shall not prevent
the institution of suit for the collection of any tax due or determined
to be due in the following cases:
A.
Where no declaration or return was filed by any person,
although a declaration or a return was required to be filed under
the provisions of this article.
B.
In the case of a false or fraudulent declaration or
return with the intent to evade tax.
C.
Where any person or taxpayer required under this article
to deduct and pay over taxes has deducted taxes according to the provisions
of this article and has failed to pay the amount so deducted to the
Borough of Eddystone.
If, for any reason, the tax is not paid when
due, there shall be added to the tax interest at the rate of 6% per
annum on the amount of said tax; in addition thereto, there shall
be an added penalty of 1/2 of 1% of the amount of the unpaid tax for
each month or fraction thereof during the time which the tax remains
unpaid.
A.
Payment of any tax on salaries, wages, commissions,
other compensation or on net profits of business, professions or other
activities to a political subdivision by residents thereof pursuant
to an ordinance or resolution passed or adopted under the authority
of the Act known as the "Local Tax Enabling Act"[1] shall be credited to and allowed as a deduction from the
liability of such persons for any other like tax respectively on salaries,
wages, commissions or other compensation or on net profits of businesses,
professions or other activities imposed by any other political subdivision
of this commonwealth under the authority of said Act.
[1]
Editor's Note: See 53 P.S. § 6901
et seq.
B.
Payment of any tax on income to any political subdivision
by residents thereof pursuant to an ordinance or resolution passed
or adopted under the authority of the Act known as the "Local Tax
Enabling Act" shall, to the extent that such income includes salaries,
wages, commissions other compensation or net profits of businesses,
professions or other activities, but in such proportion as hereinafter
set forth, be credited to and allowed as a deduction from the liability
of such persons for any other tax on salaries, wages, commissions
other compensation or net profits of businesses, professions or other
activities imposed by any other political subdivision of this commonwealth
under the authority of said Act.
C.
To the extent that residents of political subdivisions other than the Borough of Eddystone, who are subject to this tax and who have tax paid to the Borough of Eddystone pursuant to the collection at source, as provided in § 263-33 of this article, shall, upon application by the taxpayer on the appropriate form, cause to be forwarded to said political subdivision for credit the appropriate amount of tax or shall be entitled to repayment after submission of an appropriate application and proofs, as required by the Borough of Eddystone.
[Amended 1-9-1989 by Ord. No. 524, approved 1-9-1989]
A.
Any person who fails, neglects or refuses to make
any declaration or return required by this article; any employer who
fails, neglects or refuses to register or to pay the tax deducted
from his employees or fails, neglect or refuses to deduct or withhold
the tax from his employees; any person who refuses to permit the Officer
or any agent designated by him/her to examine his books, records and
papers; and any person who knowingly makes any incomplete, false or
fraudulent return or attempts to do anything whatsoever to avoid the
full disclosure of the amount of his net profits or earned income
in order to avoid this article, shall, upon conviction thereof before
any proper District Justice or court of competent jurisdiction in
the County of Delaware, be sentenced to pay a fine of not more than
$600 for each offense and costs and, in default of payment of said
fine and costs, be imprisoned for a period not exceeding 30 days.
B.
Any person who divulges any information which is confidential
under the provisions of this article shall, upon conviction thereof
before any District Justice or court of competent jurisdiction in
the County of Delaware, be sentenced to pay a fine of not more than
$600 for each offense and costs and, in default of payment of said
fine and costs, be imprisoned for a period not exceeding 30 days.
C.
The penalties imposed under this section shall be
in addition to any other penalty imposed by any other section of this
article.
D.
The failure of any person to receive or procure forms
required for making the declaration or returns required by this article
shall not excuse him/her from making such declaration or return.
This article shall become effective on the seventh day of January, A.D. 1976, and shall remain in full force and effect for the fiscal year 1976. It is further intended that this article shall remain in full force and effect on a calendar-year basis without annual reenactment until the specific repeal of this article by the Council of the Borough of Eddystone. In subsequent years, however, both the declaration and payment of the tax, as set forth in § 263-32, and the collection of the tax at the source, as provided in § 263-33, shall be upon the calendar year, and the tax imposed thereafter shall be upon the taxable subject of this article for the entire taxable year.
